The crypto fear and greed index moved to the fear zone this week as Bitcoin and other cryptocurrencies plunged. Bitcoin dropped to below $26,000, its worst week of the year, and other cryptos such as Ethereum, Cardano and Oasis Network also lost ground, bringing the total market cap to $1.02 trillion.
The fear and greed index is a well-known sentiment gauge in the financial market, initially created by CNN Money. It looks at various indicators such as the CBOE VIX index, put and call options, and stock price breadth.
The crypto fear and greed index looks at different aspects of the industry, including social media activity, volatility, momentum and dominance. Generally, when Bitcoin and other cryptos are on the rise, the index increases; when they drop, it retreats. For instance, when BTC was at the $29,000 consolidation phase, the index stayed at the neutral level of 50.
Some analysts predict that cryptocurrencies will rebound soon, citing the fact that large Bitcoin holders (aka whales) have held their positions and not sold during the price plunge. Pantera Capital’s head tweeted that BTC could reach $35,000 in the near future and skyrocket to $150,000 by the next halving event.
Another sign of the interest in cryptocurrencies is the demand for token sales. Chancer, a new company aiming to disrupt the sports betting and prediction industry, has raised more than $1.65 million from investors. The industry is estimated to be worth over $91 billion in 2023, and FMI predicts a 10% Compounded Annual Growth Rate (CAGR) by 2030 to over $245 billion.
Currently, the sports betting industry is dominated by highly centralized companies like FanDuel, DraftKings, BetMGM and Caesars. Chancer seeks to change this using blockchain technology, allowing users to own the ecosystem with the $CHANCER token. Token holders will be able to make decisions in the ecosystem and earn money by creating markets and livestreaming them.
This could be a game changer if it works. To learn more, read the Chancer whitepaper.
